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All Official Reports of meetings in the Debating Chamber of the Scottish Parliament.
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Displaying 548 contributions
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
For example, a factor who is put in place might also be thinking about the organisation’s reputation. It might be that, in strict financial terms, they could get a better return on investment by going with option 1, whereas option 2 might produce a lower short-term return but would be more consistent with the organisation’s values and wider public image. I guess that we were thinking about such a scenario in relation to trusts and succession.
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
It certainly started to answer it. For clarity, where you have left provisions untouched in other legislation and have made only minor amendments to reference that legislation, was the commission broadly happy with how the provisions in other legislation operate at the moment? There would have been a chance to amend some of those provisions through the bill if there had been a policy reason for doing so.
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
That is helpful; the drafting probably speaks to the policy intent.
I also want to ask about section 19, which covers the investment power of a judicial factor in respect of the estate. Following the approach in the Trusts and Succession (Scotland) Act 2024, should it be made clear in the bill that a judicial factor could choose environmental, social and governance investments, even if those might not lead to maximum income for the estate? This committee recommended that change in our report on the 2024 act, reflecting the changing thinking on environmental, social and governance issues.
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
I am sorry; I meant to say section 17. I apologise that I had the wrong section.
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
That is helpful—thank you.
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
Part 2 of the bill proposes various powers and duties for a judicial factor. In response to the committee’s call for views, the Faculty of Advocates said that it would be desirable to give the judicial factor the additional
“power to seek directions from the appointing court”,
which could be used, for example, in the event of a dispute or uncertainty about what steps the factor should take. Would the commission like to comment on that as a policy idea?
10:45Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
Academics from the University of Aberdeen and Abertay University, as well as R3, all said that the fiduciary nature of the judicial factor’s duties needed to be spelled out explicitly in legislation. Professor Grier also thought that a clear statement was needed as to the legal remedies if there were a breach of those duties. Does the commission have a view on that?
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
So you would not think it appropriate in this case.
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
Thank you.
Delegated Powers and Law Reform Committee
Meeting date: 16 April 2024
Oliver Mundell
Thank you. In response to the committee’s call for views, the Law Society made the opposite challenge and thought that the bill’s requirements in section 15, on the duty to make a management plan, and section 16, on the duty to submit accounts to the Accountant of Court—I hope that my notes are right on this—were more prescriptive than those of the commission’s draft bill. Is the bill more prescriptive than the commission had in mind?